Definition The Basic Fuel Price (BFP) is based on the import parity pricing principle i.e. what is would cost a South African importer of petrol to buy the petrol from an international refinery, transport the product from that refinery, insure the product against losses at sea and land the product on South African shores.

Demurrage is the time spent in a harbour to load and discharge a cargo – hourly rent of vessel, but not operating

• International crude oil prices
• International product supply/demand balances
• Product inventory levels
• Geo-politics
• Rand/US Dollar exchange rate
• International refining margins
• Weather patterns in the Northern Hemisphere

Incremental Inland Transport Recovery levy to finance incremental inland transport costs due to the 100% capacity utilisation of the Durban/Johannesburg petroleum products pipeline

Petroleum products levy to reimburse the pipeline users for the applicable NERSA tariff on transporting fuel through the pipeline – levy set by the Ministers of Energy and of Finance in line with the expenditure budget of NERSA

IP Tracer dye levy to reimburse the oil industry for buying IP tracer dye and to inject it into IP to curtail the mixing of IP and diesel (loss to the Fiscus)

Slate levy to finance the cumulative under recovery of the industry. Only applicable when the cumulative Slate balance exceeds R250 million (under recovery)

Fuel levy Tax levied by Government (Minister of Finance)

Custom and Exercise levy a duty collected in terms of the Customs Union Agreement

Road Accident Fund (RAF) levy To compensate for people involved in vehicle accidents.

Demand Side Management levy (DSML) Introduced in 2006 to curtail the use of ULP 95 in the inland market.